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The IMF Will Continue to Finance Georgia’s “Economic Reforms”

Georgia in the arms of the IMF. But who provides its economic growth?

The press service of the Administration of the Government of Georgia reports that Prime Minister Irakli Garibashvili discussed “the current economic situation in the country” with the head of the mission of the International Monetary Fund’s (IMF) Central Asia Department, James John , in Tbilisi.

The previous program aimed at supporting economic reforms in Georgia, which the IMF approved in April 2017, ended in 2021. Total disbursements under the program amounted to $687 million.

The day before, the IMF Executive Board approved a $280 million Stand By agreement with the Georgian government (100% of the quota and 210.4 million SDRs). The Fund has already allocated $70 million to Georgia.

It was noted that after the economic downturn in 2020 by 6.8%, since April 2021, Georgia has shown a steady economic recovery, and despite global challenges, this trend continues. This is the growth of exports and imports, money transfers and an increase in the turnover of enterprises. In 2021-2022, GDP growth in the country was double-digit. Real economic growth in Georgia in March 2023 was 7.3% compared to the same period in 2022, and the average real GDP growth in the first quarter was 7.2%. But according to Georgian experts, this is only due to the fact that Georgia continues trade relations with Russia.

Georgian authorities refused to impose sanctions against Russia because of the events in Ukraine

Source: iarex